What are the Limitations of Business?

There are lots of limitations of business which you should understand if you are starting your own business. To study these limitations is not for fearing and withdrawing your feet from business but to study these limitations is necessary for bringing new innovation for removing these limitations.

1. Limitation of Capital 

It is the limitation of business. If you have less capital, you can grow your business at less area. For example, you service demand is in the market but market's shop rent is Rs. 10,000 per month and Rs. 10,00,000 advance as security which is not under your small capacity. So, this will become your business limitation.

2. Limitation of Technology

Time to time, fashion is changing, technology is changing. Due to this, you can loss your customer if you will not do updates. This is the limitation of business. For example, people who were operating net for opening website through pc. Now, they are living pc and using mobile for opening eCommerce sites. All eCommerce sites who will not make mobile responsive sites will loss the customers.

3. Loss in Advertising 

It is only on luck whether customer will buy on the basis of advertising or not. If customer will not buy on our investment in advertising, it will big wastage of our money. So, this is also our business limitation.

4. Failure of Marketing Strategy 

Sometime, marketing strategy may fail. So, it will reduce our capital. Due to this, we may not uplift again. So, it is limitation of business.

5. Legal Limitations 

Sometime, some legal problems may be arise. For example, tax department may order of investigation against our business. If everything is OK but still it will waste our time to go to fulfill all legal procedures to prove that we are correct. 

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Business Education: What are the Limitations of Business?
What are the Limitations of Business?
Business Education
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